Ventive Hospitality Limited

Consumer Cyclical — Lodging · NSE

₹566.00+₹15.30 (+2.78%)

DalalBaazaar Score

63 / 100

🟢 Good

Verdict

REASONABLE

Risk

Low

Driven by small-cap size, which brings sharper price swings.

In simple words: The business is earning a fairly low return on the money invested in it, with modest growth. Nothing on this snapshot stands out as an immediate concern — the usual checks on business quality and management still apply.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:07 pm

Mixed / neutral. No major red flags jump out, but nothing here screams "obviously cheap" either. This is a name that needs a peer comparison and a view on near-term earnings triggers before sizing a position.

Understanding the Business

Company site ↗

The 60-second version of Ventive Hospitality Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Ventive Hospitality Limited engages in the hotel and resorts operations in India and internationally. It operates through three segments: Hospitality, Commercial Leasing, and Others.

IndustryLodging

SectorConsumer Cyclical

Employees38

Annual revenue₹2,452 Cr

How does it make money?

Turns over ₹2,452 Cr a year. Of every ₹100 of sales, about ₹17 reaches shareholders as profit, with ₹53 left at the operating level before interest, tax and depreciation. Each of its 38 employees supports ₹64.52 Cr of revenue a year, the signature of a capital- or asset-led business.

EBITDA margin52.8%

Net margin17.4%

Revenue / employee₹64.52 Cr

Who are its competitors?

The closest listed comparisons in its industry are MARUTI SUZUKI INDIA LTD., TITAN COMPANY LIMITED, TRENT LTD, AVENUE SUPERMARTS LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

MARUTI SUZUKI INDIA LTD.P/E 25.2x · ROE 13.4%

TITAN COMPANY LIMITEDP/E 68.5x · ROE 36.7%

TRENT LTDP/E 87.2x · ROE 25.9%

AVENUE SUPERMARTS LIMITEDP/E 69.9x · ROE 12.7%

What is its competitive advantage?Little sign of one

Returns on capital of 9.7% are at or below what the capital likely costs. That is the financial pattern of a business competing largely on price, where advantage has to come from execution rather than position.

ROCE9.7%

ROE7.7%

Peer median ROE25.9%

What is the outlook?

7 analysts covering the stock expect revenue to grow about 13.7% and earnings to grow about 21.9% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+13.7%

Est. earnings growth+21.9%

Analysts7

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +44% while net margin moved -2069% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+44%

Margin effect-2069%

DalalBaazaar Score

63/ 100

Good

Weighted across six categories. Every point is explained below.

✗ Small Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast

Quality vs. Valuation

Company Quality

67/ 100

Good

How good the business is, ignoring the share price entirely.

Valuation

75/ 100

Cheap

What you are being asked to pay, ignoring how good the business is.

A good business currently available at an undemanding price — the combination this framework is built to look for.

Historical Valuation

Current P/E

28.1x

2Y Median

91.0x

24 monthly readings · mean 84.3x · range 30.6x–111.7x

Sector Median

69.2x

median of 4 sector peers

🟢Current valuation is approximately 69% below its 2y median of 91.0x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

🟢Against its sector it trades 59% below the peer median of 69.2x.

vs. its own history

Cheap

91.0x median over 24 months · -69%

vs. sector peers

Cheap

69.2x median of 4 peers · -59%

vs. generic bands

Fair

15x–35x

P/E (Trailing)

28.1x

P/B

2.40x

EV/EBITDA

12.0x

PEG

—

Dividend Yield

None

What's Good / What's Bad

🟢 What's Going Well6

Margins are improving
EBITDA margin is up from 45.4% to 52.8% over 3 years.
Debt is being paid down
Total debt is down 34% over 3 years.
Cash generation is improving
Free cash flow is up 90% over 3 years.
Return on equity is rising
ROE has improved from -0.5% to 7.7%.
Return on capital is rising
ROCE has improved from 5.4% to 9.7%.
Valuation below its historical average
At 28.1x the stock trades 69% below its own median of 91.0x.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

No automated checks triggered

None of the automated financial checks below were triggered on the years of data available. That is not the same as a clean bill of health — see what could not be checked.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 45.4% to 52.8%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Deleveraging frees up earnings
Debt is down 34% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.
Priced below its own history
The stock trades 69% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
Cheaper than its peers
It trades 59% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Self-funding with balance-sheet headroom
Positive free cash flow of ₹753 Cr alongside low debt means growth, buybacks or dividends need no outside money — and a downturn can be absorbed rather than refinanced.

🔴 Bear CaseWhat could go wrong?

Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
Size brings its own risk
Small Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 10% a year✓ 13.0% CAGR
Latest reported year was 7.0%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 51%✓ 52.8%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✓ ₹753 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 2.0x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 8%✓ 9.7%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

9 / 12 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ Revenue growing year-over-year
✓ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Analyst consensus isn't majority-sell
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

4 good · 6 neutral · 1 weak

Market Cap

₹13,218 Cr

Small Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

28.1x

Fair

Fairly valued against the generic band

P/B Ratio

2.40x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹20.16

Profitable

Profitable on a per-share basis

ROE

7.7%

Weak

Weak capital efficiency

ROCE

9.7%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.38x

Low

Conservative leverage

Revenue Growth (YoY)

7.0%

Modest

Modest growth

Profit Growth (YoY)

200.9%

Healthy

Profits growing at a healthy clip

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

₹753 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

CMP

₹566

P/E (Forward)

20.7x

Improving

Below the trailing multiple — the street expects earnings to grow into the price

Operating Margin

19.0%

Good

Healthy core-business profitability

Net Margin

19.1%

Good

Strong bottom-line conversion

Current Ratio

1.18

Adequate

Adequate, but no real cushion

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

562.2 / 575.0

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

48.2

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹1,699 Cr	₹478 Cr	₹1,597 Cr	₹2,452 Cr	+13.0%
EBITDA	₹771 Cr	₹301 Cr	₹810 Cr	₹1,293 Cr	+18.8%
EBITDA Margin	45.4%	62.9%	50.7%	52.8%	—
PAT (Net Profit)	-₹15 Cr	₹166 Cr	₹120 Cr	₹426 Cr	—
EPS	₹-0.71	₹7.97	₹6.83	₹18.23	—
ROE	-0.5%	5.5%	2.5%	7.7%	—
ROCE	5.4%	3.1%	6.0%	9.7%	—
Total Debt	₹3,907 Cr	₹3,994 Cr	₹2,744 Cr	₹2,574 Cr	-13.0%
Free Cash Flow	₹396 Cr	₹253 Cr	₹622 Cr	₹753 Cr	+23.9%

🟢 Revenue has grown at 13.0% a year over 3 years.

🟢 EBITDA has grown at 18.8% a year over 3 years.

🟢 EBITDA Margin has risen from 45.4% to 52.8% over 3 years (+7.4 pts).

🟢 PAT (Net Profit) has turned positive, from -₹15 Cr to ₹426 Cr.

🟢 EPS has turned positive, from ₹-0.71 to ₹18.23.

🟢 ROE has risen from -0.5% to 7.7% over 3 years (+8.2 pts).

🟢 ROCE has risen from 5.4% to 9.7% over 3 years (+4.3 pts).

🟢 Total Debt has shrunk at 13.0% a year over 3 years.

🟢 Free Cash Flow has grown at 23.9% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹10,681 Cr

Total Liabilities

₹3,920 Cr

Total Debt

₹2,574 Cr

Cash & Equivalents

₹256 Cr

Operating Cash Flow

₹950 Cr

Capex

-₹197 Cr

Shareholding (proxy)

Institutional Holding

5.4%

Insider Holding

90.0%

Analyst Consensus

Recommendations

9 Buy · 0 Hold · 0 Sell

Target Price (Mean)

₹743.33

+31.3% vs CMP

Target Range

₹700 – ₹840

Peer Comparison

Company	P/E	ROE
MARUTI SUZUKI INDIA LTD.	25.2x	13.4%
TITAN COMPANY LIMITED	68.5x	36.7%
TRENT LTD	87.2x	25.9%
AVENUE SUPERMARTS LIMITED	69.9x	12.7%

Recent News

2 mixed4 general

VENTIVE Share Price Rises 6.11%: Price and Fundamentals

Univest, 06 OctPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

Declining Stock and Decent Financials: Is The Market Wrong About Ventive Hospitality Limited (NSE:VENTIVE)?

Simply Wall Street, 14 Feb

Ventive Hospitality board approves appeal against NCLT amalgamation order

scanx.trade, 12 Oct

VENTIVE HOSPITALITY LTD Share Price

Upstox, 05 May

Hotel stocks to buy: Lemon Tree, IH, Ventive among Motilal Oswal’s top picks ahead of wedding season - Target Price

Livemint, 30 SeptAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

Ventive Hospitality gets new 'Buy' from Motilal Oswal; 30% upside seen

Business Standard, 04 Feb

Watch Items

Trading very close to its 52-week low — worth checking whether this reflects a temporary setback or a structural problem.
Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

🟢Business QualityStrong14.3/20

🟢Financial HealthStrong15.4/20

🟡GrowthModest10.6/20

🟢ProfitabilityStrong10/15

🟡ValuationFair9.5/15

🔴RiskHigh3.2/10

Attractive on both counts

A good business currently available at an undemanding price — the combination this framework exists to look for. The work left is qualitative: whether the advantage the numbers imply is one you can identify and expect to last.

This thesis breaks if

✓Revenue growth stays above 10% a year13.0% CAGR
✓EBITDA margin holds above 51%52.8%
✓Free cash flow remains positive₹753 Cr
✓Debt / EBITDA stays below 2x2.0x
✓ROCE stays above 8%9.7%